Download MBS Total Return Fund

SEMPER MBS TOTAL RETURN FUND | JUNE 2017
SEMMX | SEMPX | SEMOX
www.semperfunds.com
An opportunistic fixed income strategy designed to provide low correlation to core fixed
income, offering current yield, low interest rate sensitivity, and limited downside volatility.
Overall Morningstar Rating
FUND OVERVIEW
The Semper MBS Total Return Fund seeks to provide a high level of risk-adjusted current
income and capital appreciation.
Under normal market conditions, the Fund invests at least 80% of its net assets in
mortgage-backed securities (MBS), including residential MBS (RMBS) and commercial
MBS (CMBS). These include securities issued by government sponsored entities (Agency
MBS), and by private entities (Non-Agency MBS).
GROWTH OF $10,000 SINCE INCEPTION
Semper MBS (SEMMX)
$13.5k
$13.0k
$12.5k
$11.2k
2014
2015
As of 6/30/17 the Semper MBS Total Return Fund
received a 5-Star Overall Morningstar Rating™
and 5-Star 3-Year Morningstar Rating™ among
259 non-traditional bond funds. *
FUND AT A GLANCE
B.B. MBS Index****
$13.2k
2013
TM
2016
2017
Monthly Return
(SEMMX, 6/30/17)
0.64%
Total Assets
$933.3 Million
Effective Duration**
$12.0k
Average Life
$11.5k
Yield to Maturity***
$11.0k
SHARE CLASSES
$10.5k
Class
$10.0k
This chart shows the performance of a hypothetical $10,000 investment in the Fund on July 22, 2013,
assuming reinvestment of dividends and capital gains. It does not imply any future performance.
1.40 years
5.1 years
5.09%
CUSIP
Ticker
June
Dividend
Institutional
00770X758
SEMMX
0.45%
Investor
00770X741
SEMPX
0.43%
Class A
00768D152
SEMOX
0.43%
FUND PERFORMANCE
AsofOf
3/31/15
(as
6/30/17)
Total Returns
Month 3 Months
As of
of6/30/17)
3/31/15
(as
YTD 1
1 Year
3 Years Inception^ 1 Year Inception^
(as of 6/30/17)
As Of 3/31/15
Operating
Expenses
SEMMX
SEMPX
SEMOX
Gross
0.69%
0.94%
0.94%
Institutional Class
(SEMMX)
0.64%
1.86%
3.48%
6.99%
4.80%
7.39%
6.99%
7.39%
Investor Class
(SEMPX)
0.53%
1.70%
3.36%
6.74%
4.52%
7.13%
6.74%
7.13%
30 Day SEC
Yield 2
SEMMX
SEMPX
SEMOX
-1.51%
-0.36%
1.25%
4.59%
N/A
2.98%
4.59%
2.98%
Subsidized:
4.16%
3.90%
3.81%
B.B. US MBS Index
-0.40%
0.87%
1.35%
-0.06%
2.17%
2.81%
-0.06%
2.81%
Unsubsidized:
4.16%
3.90%
3.81%
Excess Return
1.04%
0.99%
2.13%
7.05%
2.63%
4.58%
7.05%
4.58%
Class A at MOP
(SEMOX)
1
CONTACT INFORMATION
SEMPER MBS TOTAL RETURN FUND
c/o U.S. Bancorp Fund Services, LLC
P.O. Box 701
Milwaukee, Wisconsin 53201-0701
855-736-7799
SEMPER CAPITAL MANAGEMENT, L.P.
Investor Relations
212-612-9102
[email protected]
Performance data quoted represents past performance; past
performance does not guarantee future results.
1.Performance with sales charge reflects the Class A shares
maximum sales charge of 2.00%. The investment return and
principal value of an investment will fluctuate so that an
investor's shares, when redeemed, may be worth more or less
than their original cost. Current performance of the fund may
be lower or higher than the performance quoted. Performance
data current to the most recent month end may be obtained
by calling 855-736-7799. Returns over one year are annualized.
^Fund inception date of investor and institutional shares was
July 22, 2013, and January 18, 2015 for Class A Shares.
SEMPER MBS TOTAL RETURN FUND | JUNE 2017
www.semperfunds.com
SECTOR ALLOCATION , LAST 12 MONTHS
100%
80%
13
15
10
60%
21
19
15
10
17
20
21
16
22
13
12
15
24
23
17
16
13
13
13
Cash Equivalents
15
16
Real Estate ABS
17
Asset-Backed Securities
Agency Mortgage-Backed Securities (MBS)
40%
20%
19
52
54
51
54
55
52
54
60
JULY
AUG
SEP
OCT
NOV
DEC
JAN
FEB
56
69
66
69
Non-Agency Commercial MBS
Non-Agency Residential MBS
0%
MCH
NON – AGENCY RMBS ALLOCATION
APR
MAY
JUNE
FIRM OVERVIEW
Prime
27.6%
Alt-A
17.4%
Subprime
24.2%
NPL-RPL
30.8%
Semper Capital Management, L.P., SEC- registered ninvestment adviser,
established in 1992
Offer range of securitized-debt centric investments
Minority Business Enterprise (MBE) certified by the NY & NJ Minority
Supplier Development Council; Recognized as Minority/Veteran business
owned by the National Minority Business Council, Inc.
Firm Assets: $1,519.9 million
LEADERSHIP TEAM
GREG PARSONS
CEO, Investment Committee Chair
THOMAS MANDEL, CFA
Co-founder, Senior Portfolio Manager
Industry Experience: 19 years
Prior Positions: Founder/PM, CP Capital
.Partners, Associate Principal, McKinsey & Co
Education: A.B., Princeton University
Industry Experience: 32 years
Prior Positions: Principal, 1838 Inv. Adv.
.Century Inst. Adv., Chase Investors Mgmt. Corp.
Education: B.S., M.B.A., Wharton
ZACH COOPER, CFA
CIO, Senior Portfolio Manager
Industry Experience: 22 years
Prior Positions: CIO, Treesdale Rising Rates;
.Trader, PrinceRidge; PM, Highland Financial
.Holdings LLC; MBS Derivatives, Deutsche Bank
Education: B.A., Harvard University
(1) Year To Date (2) The 30 Day SEC Yield is a standardized yield which is calculated based on a 30-day period ending on the last day of the previous month. It is computed by
dividing the net investment income per share earned during the period by the maximum offering price per share on the last day of the period.
RISKS AND DISCLOSURES This material must be preceded or accompanied by a prospectus. Please refer to the prospectus for further details.
Mutual fund investing involves risk. Principal loss is possible. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually
greater for longer-term debt securities. Investments in lower-rated and non-rated securities present a greater risk of loss to principal and interest than higher-rated
securities. The Fund may make short sales of securities, which involves the risk that losses to those securities may exceed the original amount invested by the Fund.
Investments in Mortgage-Backed Securities include additional risks that investors should be aware of such as credit risk, interest rate risk, prepayment risk, real estate
market risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. The Fund may invest in securities that are less liquid
which can be difficult to sell. The Fund may use certain types of investment derivatives such as futures, forwards, and swaps. Derivatives involve risks different from,
and in certain cases, greater than the risks presented by more traditional investments. The Fund may use leverage which may exaggerate the effect of any increase or
decrease in the value of portfolio securities. The Fund may invest in TBA securities which involve interest rate and investment exposure risks. The Fund may invest in
When-Issued securities which may involve less favorable prices for securities, when delivered, and failure to deliver securities could cause a loss to the Fund. Sector
allocations are subject to change and should not be considered a recommendation to buy or sell any security.
*The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchangetraded funds, closed-end funds, and separate accounts) with at least a three-year history, without adjustment for sales loads. Exchange-traded funds and open-ended mutual
funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a
managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each
product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall
Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable)
Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total
returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give
the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. ©2017 Morningstar,
Inc. All Rights Reserved. The information contained herein (1) is proprietary to Morningstar (2) may not be copied or distributed and (3) is not warranted to be accurate, complete
or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
**Effective Duration: Calculation for bonds with cash flow variability. It takes into account that expected cash flows will fluctuate as interest rates change. ***Anticipated rate of
return on a bond if held until the maturity date. ****Bloomberg Barclays US MBS Index covers agency mortgage-backed pass-through securities - both fixed-rate and hybrid ARM issued by Ginnie Mae (GNMA), Fannie Mae (FNMA), and Freddie Mac (FHLMC). Pool aggregates must have at least $250 million outstanding with a weighted average maturity of at
least 1 year. One cannot invest directly in an index. The SEC does not approve nor disapprove any securities referred to herein. ®“Semper Capital Management” is a registered
trademark. The Semper MBS Total Return Fund is distributed by Quasar Distributors, LLC.